CapitaMalls Asia: Doji at $1.91.

CapitaMalls Asia broke the trendline support today with price reaching $1.89 at one point before pushing back up above the trendline at $1.91 where it closed. For those who have been following my analyses so far, the question is how are things looking now?

Well, the weakness in price today brought out the bargain hunters as they pushed price back up to $1.91 and volume expanded modestly in the process. This suggests to me that at lower prices, buyers are waiting. However, it is quite obvious that the descending 50dMA is a strong resistance and people are probably just waiting to see if it could be overcome convincingly in future sessions. Breakout traders are waiting, I am sure. The 50dMA is currently at $1.94. Expect a wave of buying if resistance is taken out.

Volume has remained thin as trendline support is tested. Although I remain optimistic that price could move higher in the near future, that's just me. We really have to wait and see. I am no longer accumulating at the current support as I already have a sizeable position. We could very well see the counter trading sideways too.

Related post:
CapitaMalls Asia: Closed at $1.90 support.